Ed's Hardware Is Adding a New Product Line to Its

question 9

Multiple Choice

Ed's Hardware is adding a new product line to its sales lineup. Initially, the firm will stock $31,000 of the new inventory, which will be purchased on 30-days credit from a supplier. The firm will also invest $6,000 in accounts receivable and $4,000 in equipment. What amount should be included in the initial project costs for net working capital?

• A) -$41,000
• B) -$37,000
• C) -$10,000
• D) -$6,000
• E) -$2,000

---

Definitions:

Ganglion Cells

Type of neurons found in the retina that receive visual information from photoreceptors via intermediate bipolar cells and transmit it to the brain.

Optic Nerve

An optic nerve that carries sight data from the retina directly to the brain.

Blind Spot

A region in the visual field that lacks light-detecting photoreceptor cells, resulting in an area with no vision.

Light-sensitive

Having a sensitivity to light, often used to describe cells, materials, or devices that respond or react to light, such as photoreceptor cells in the eye or photographic film.